6 Things to Look for When Choosing the Right Insurance Agent

Choosing the right insurance agent is important. You need an agent who understands your needs and can find policies that provide the proper coverage while looking for every opportunity to lower the premium cost. In this article, we help to understand the role of an insurance agent. We explain the differences between three kinds of agents and offer six things to look for when shopping for your next insurance agent.

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Real World Experience

“I speak with people all the time who are looking to buy insurance. Most people don’t like to shop for insurance and are often only interested in the price. They don’t realize that when you buy an insurance policy, it is connected to an agent who can impact the experience and coverage they get. I often tell customers that shopping for the right insurance agent is more important than shopping for the right policy. That’s because if you can find the right agent, they will provide the policy coverage you need and deliver the service you expect. Life’s conditions come and go, but a good insurance agent is there for a lifetime.”

Understanding the Role of an Insurance Agent

The primary role of an insurance agent is to find insurance policies to cover customers’ needs. Many people don’t know the amount of coverage they need or what specific policies cover. Therefore, the agent needs to learn as much as possible about the customer’s dwelling, vehicles, boat, jewelry, and anything else that needs to be insured. 

Another role is to educate the customer on policy details and the claims process. Also, the agent should regularly check in with the customer to find out if any insured items have been replaced or changed. For example, if a customer replaces the roof on their home, their agent could uncover cost savings on their homeowner’s insurance policy. On the other hand, if a business invests in new equipment, the agent may advise them to increase their insurance coverage to protect the investment.

Insurance agents do not handle claims. Insurance companies typically handle claims. However, your local agent should be willing to help file a claim and may be able to check on the claim’s status, but they likely will not be able to influence the outcome or when the benefit is paid.

Three Kinds of Insurance Agents

Insurance agents fall into one of three categories, depending on who they work for. 

Captive Insurance Agents

Captive insurance agents work for one insurance carrier and only sell policies for that carrier. For example, a captive agent working for Geico can only sell Geico policies. 

Independent Agents

Independent agents work for an insurance agency. The agency contracts with numerous insurance carriers to sell their policies. Because they don’t work for a single carrier, they can offer many types of coverage. That means they can provide the convenience of buying policies to cover home, auto, life, boat, pet, identity theft, and others from a single agent. 

Insurance Brokers

Finally, insurance brokers work for the customer. They can sell policies from competing insurance companies so they can truly shop for the best rates and coverage. 

Insurance companies pay captive and independent agents when they sell their insurance policies. However, brokers charge their customers directly for their services. 

6 Things to Look for When Choosing the Right Insurance Agent

1. Reputation

It’s important to look into the professional reputation of any insurance agency you are considering. First, check the agency’s website for badges from professional organizations, local chambers of commerce, and the Better Business Bureau. If the agency is involved in organizations like these, chances are they have good reputations and work hard to maintain them.

Another resource to check on insurance agencies is the National Association of Insurance Commissioners (NAIC). They provide a Consumer Insurance Search platform to research insurance agencies by company name and state. The results show filed complaint history, financial overview, and licensing records.

2. Reviews

Quantity and Quality

Reviews are another important thing to consider when selecting an insurance agent. You want to select an agent or agency with a large number of reviews. Ideally, you want to find an agency with all 5-star reviews. But that gets difficult with a large number of reviews, so as long as the vast majority of reviews are five stars, that’s good. 

Recent is Better

Make sure there are some recent reviews. Recent reviews are more important than older reviews because they report on recent experiences. Older reviews lose relevancy because the agency may change policies, tighten up processes, or hire more staff to help correct issues brought to light in older reviews. Recent reviews will indicate what you should expect under current conditions.

Look for Responses

Finally, read responses. When an agency responds to all reviews, good and bad, it shows they engage with their customers. If the agency gets a bad review but responds with an apology and an attempt to make things right, that shows the agency is trying to provide good customer service and can be trusted. But their trustworthiness may be questionable if the same issues keep coming up in reviews and the agency promises to make things right repeatedly.   

3. Local Expertise

A good insurance agent with local knowledge can help homeowners protect themselves from bad weather events. For instance, not all neighborhoods in a flood zone have the same risk for flooding. During floods, it’s common for some homes to experience flooding while other homes in the same neighborhood are high and dry. A good insurance agent with local expertise will know this. The agent will be able to recommend the right coverage for those homes more prone to flooding damage.

4. Range of Products Offered

Select an insurance agent who can sell a wide range of insurance products. This just makes life easier. It’s convenient to get all your insurance coverage from a single agent instead of having a different agent for each type of insurance you need.

5. Customer Service

You want to find an insurance agent dedicated to good customer service. And “good service” is based on your definition, not theirs. You want to make sure they provide timely information and can present it in your preferred format. When shopping for a new agent, contact several and test them by asking each one for the same information. This could be to provide coverage options for a new homeowner’s policy. Service-minded agents will ask you the format you want to see the results. If the agent doesn’t ask, specifically tell them how you want to see the results presented. Then, see how each responds. Regardless of the format they present, they should be pointing out ways to lower the cost of the premium.

Ask them how often they check in with you. Good agents will check in periodically throughout the year. The others will check in only when it’s time to renew your policies.

Finally, ask them how much help they will provide in the event of a claim. A good agent should be able to help file a claim, check the claim status, and even contact the claims department on your behalf if necessary. 

6. Professional Experience

Professional experience is important when considering the right insurance agent for you. All states require everyone who sells insurance to have a license. 

Certifications

On top of that, agents can get further insurance knowledge and training by getting specialized certifications. They include:

• Certified Insurance Service Representative (CISR)
• Certified Insurance Counselor (CIC)
• Chartered Property Casualty Underwriter (CPCU)

Other certifications focusing on risk management and information services are available. Certifications can show the agent is committed to the insurance industry and can use advanced training to provide better product advice and customer service.

Work History

Another thing to consider when choosing an insurance agent is their work history. Look for agents with experience in several insurance industry roles working for big insurance companies or agencies. Agents with this type of experience can provide unique perspectives and insider knowledge that can make a big difference when choosing companies and coverage. 

Education

For agents offering commercial policies, having an agent who has earned a college degree in business, management, or accounting is helpful. These agents can better understand how businesses work and the unique insurance coverage needed to minimize risk on all levels.

Conclusion to 6 things to Look for when choosing the Right Insurance Agent

Choosing the right insurance agent is important because they are responsible for getting you the right coverage to protect your family and possessions. Plus, they should always look for ways to save money on your premiums. Researching and speaking to several agents before selecting one can pay off when you need them the most.

When considering insurance agents, research their reputations, check recent reviews, and look for agents with industry certifications and a solid work history. To make your life easier, make sure the agency can fill all your insurance needs. Look for agents with deep local expertise who will deliver the customer service you expect. If you are looking for the right insurance agency in North Carolina, look no further than Impact Insurance Partners. We bring over 25 years of combined industry experience at Fortune 100 insurance companies and a level of personalized customer service that sets the gold standard. Plus, we have over 70 5-star reviews posted to Google.

Impact Insurance Partners is a licensed, independent insurance agency based in Matthews, North Carolina and serving the Southeastern United States. We work with almost a dozen insurance companies and offer auto, all types of home, and life insurance products. We also protect boats, RVs, motorcycles, jewelry, pets, and your identity with affordable insurance policies. We even protect businesses through our commercial policies. If you learn more about us, you’ll see that we have deep roots in our community, and our commitment to customer service has earned over 100 5-star Google Reviews. Call us today to see how we deliver impactful insurance for what matters most.

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